New Zealand Legislation: Acts

4 Expenses or capital expenditure must not be incurred unless in accordance with appropriation or statutory authority

• (1) The Crown or an Office of Parliament must not incur expenses or capital expenditure, except as expressly authorised by an appropriation, or other authority, by or under an Act.

  (2) In this section, expense does not include an expense that results from—

  • (a) a remeasurement of an asset or a liability; or

  • (b) an operating loss incurred by—

    • (i) a Crown entity named or described in the Crown Entities Act 2004; or

    • (ii) an organisation named or described in Schedule 4; or

    • (iii) a State enterprise named in the Schedule 1 of the State-Owned Enterprises Act 1986; or

    • (iv) the Reserve Bank of New Zealand; or

    • (v) any other entity whose financial statements must be consolidated into the financial statements of the Government to comply with generally accepted accounting practice.

  Subsections (2) and (3) were substituted, as from 21 December 1992, by section 5(1) Public Finance Amendment Act 1992 (1992 No 142).

  Subsections (4) to (6) were amended, as from 21 December 1992, by section 5(2) Public Finance Amendment Act 1992 (1992 No 142) by substituting the word “expenses” for the word “costs” wherever it occurs.

  Section 4 was substituted, as from 1 July 1994, by section 5 Public Finance Amendment Act 1994 (1994 No 18).

  Parts 1 and 2 (sections 4 to 26A) were substituted by new Parts 1 and 2 (sections 4 to 26Z), as from 25 January 2005, by section 7 Public Finance Amendment Act 2004 (2004 No 113). See sections 32 to 36 of that Act as to the transitional provisions.